What Is Data Warehousing? The Importance of Data Warehousing
Every business accumulates data daily, which can lead to a storage problem, especially when you consider that it is security and capacity that you need to be concerned about.
Understanding how and where your data will be located is a unique challenge that can be solved with the help of data warehouse design solutions.
What is data warehousing?
In simple terms, it is a system created to help you store data efficiently and securely using cloud-based technology. You will be familiar with the concept of a warehouse and its purpose. A data warehouse describes a system created to facilitate the storage of internal and external data in a very efficient and organized way.
Here is a look at why data warehousing has become so important.
Consistency Is a Key Attribute
A good reason why a data warehouse is considered such a relevant solution in modern commerce is that it ensures a good level of consistency and uniformity when storing and retrieving your data.
When you standardize data storage in this way it becomes a lot easier to share and analyze data insights with ease.
Decision-Making Becomes Easier
Another benefit attached to storing data with such uniformity is that it makes it easier to make better business decisions.
You will want to be able to harness the power of all that data you have collected so that you create strategies that are based on solid intelligence and reliable data.
Cost Savings Can Be Impressive
Running a successful business with a Strategy means that there always has to be a laser focus on the bottom line. Data warehousing is a cost-effective solution that has the ability to impact your bottom line in a positive way.
It achieves this in several different ways.
Firstly, when you have access to a vast array of data insights that are easily accessible and well organized you have the ability to analyze past activities and initiatives. Using the data, you can evaluate what worked and what didn’t. This allows you to evolve your business to be leaner and fitter, based on what you know about the past.
The other key point about using a data warehouse in this way is that you will be able to see ways to change your strategy and save costs where required.
A Scalable Solution
When your business grows or changes direction you need to be able to respond to those changes as quickly as possible.
A primary reason why a data warehouse offers a near-perfect solution for your data storage needs is that it is a solution that is highly flexible and offers superior scalability options.
When you subscribe to a data warehouse solution you are also taking a smart step towards future-proofing your data storage and security requirements. Your provider will be taking care of these issues with regular upgrades as technology and potential security threats evolve.
Best Practices for Data Warehouse Solutions
Having such resources at your disposal gives your business a distinct advantage but you also need to implement some best practices if you are going to take advantage of that edge.
One important aspect to consider is whether you should opt for an on-premise data warehouse solution.
Although you might consider that the on-site would give you ultimate control of your data, you will always have the challenge of building and maintaining the sort of system that gives you everything you need, now and in the future.
This is where a data warehouse solution scores well by comparison. Scaling becomes much easier when you have access to a cloud data warehouse solution. If you need to add more capacity, or reduce the amount of storage required this can be achieved with ease when you are subscribed to an external provider option.
Another key point to consider is that when you are using a cloud data warehouse you don’t have any concerns relating to building or maintaining the storage facility. You also get regular security upgrades in a much more cost-effective way than if you were having to do this all in-house.
Scalability is a key issue. Your business will often need to respond to challenges with a great deal of dexterity. Having a data warehouse solution that allows you to respond to these evolving challenges will give your business a competitive edge. That could prove vital when you are looking to take advantage of opportunities or market conditions.
When you understand what data warehousing offers your business it is clear why so many forward-thinking companies consider this to be the go-to solution for their data storage needs.
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